Masking of Underperformance

Autocratic unresponsive top down management

Finger Pointing Mentality
High Turnover Rate
Chaotic Practices, Poor Procedures
Layoffs
Delayed Shipments
Production capacity below break-even
Financial Crisis: Decline in Demand
Loss of Contracts
Deemed non-core by lantana
Takeover by Crossroads
Opportunities to position as OE supplier
TQM Program
Objectives:

Provide product and service quality

Be the lowest cost quality producer
Manage Through Leadership
Personally involve all employees through participative activity
Be comprised of employees who face the job fearlessly
Improve Management Practices
Consistent operational strategy across all CC businesses
Position as an attractive OE supplier

How to achieve this

Quality at the source by applying a consistent set of quality tools, such as quality
circles and systematic supplier evaluation to every aspect of the business.
Empowering employees at all levels to seek out and correct quality problems
Adopting a proactive, customer focused approach to quality at every step.

Andrew Ryans Agenda

Strong believer:

In TQMs importance for VC Brakes

Unite VC Brakes as a single team
Implement his own management philosophy
Important career opportunity
Self efficacy

Doubts:

Long-standing divide between engineering and operations serves as an obstacle to any

meaningful organizational change.
Being forced to work together with a rival
Expectations are raised too high

Why did VC Brakes change effort fail; what were its three major mistakes?
VC Brakes effort to change failed for three reasons. VC Brakes effort to change lacked a
good sponsor, the removal of obstacles needed for change to be successful, and a sense of
urgency. VC Brakes sponsor was the VP of Operations, James Baynard. James Baynard,
according to Ryan, is one of those managers who takes credit, but does not really do
anything. Unfortunately for the company, Ryan might be correct. For example, when Ryan
asked to be taken off the TQM training to work on the engineering team, James Baynard
refused because he wanted to keep up appearances. If you do not have a good sponsor, then
the
change
will
never
work.
There were too many obstacles for any meaningful change to happen. Floor workers seem to
know what they needed, such as the woman who complained about the box cutter or the
issues with the carts, but management stood in the way of these needs. When workers raised